License

Dubai Company Register | Which License Is Best For You?

Which license is the most appropriate for you? Discover the steps you need to take

Dubai company register: We discuss on this page the categories and procedures required to get your business licensed and registered in Dubai.

Please invest 2 minutes of your time to watch the video about Dubai company formation below. It spells out how you can benefit. Or if you prefer to read, then feel free to skip the video and go straight to the text below:

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Any business of any category must have a Business (Trade) License in Dubai.

The requirements for a Trade License and the permissions required from various agencies and government ministries can vary depending on the category of the business.

That means some types of businesses for example financial services, health services, printing and publishing, food trading require more clearances than say a general trading business.

Dubai company register: There are basically 3 categories of licenses issued in Dubai

Depending on the nature of the activity a business entity plans to undertake, one of these license categories will be issued:

1. Commercial License – to be issued to a company that will engage in any kind of trading activity.

2. Industrial License – to be issued to a company that will engage in manufacturing or any industrial activity.

3. Professional License – to be issued to service providers, professionals, artisans, and craftsmen.

The Department of Economic Development (DED), Dubai is the government agency responsible for issuing these licenses for Dubai. The department operates from several locations delivering the licensing services.

3. Where a company wholly owned by the Gulf Cooperation Council (GCC) enters into a partnership with another company wholly owned by UAE nationals.

4. In certain activities 100% ownership for GCC nationals or entities is permitted.

5. In artisan or professional companies in which total foreign ownership is allowed.

6. In the case of a foreign entity registering a representative or branch office in the UAE.

7. In the case where a professional license is being applied for crafts e.g. architect, doctor, artist and others, the foreign ownership can be 100%. However a local national must be taken as service agent.

Dubai company register: Legal business structures

A major consideration in business registration in Dubai and the other Emirates is the choice of a business structure. The Federal Law defines the seven legal structures of business organizations, as follows:

1. General Partnership

2. Partnership in Commendams

3. Public Shareholding

4. Private Shareholding

5. Joint Venture

6. Share Partnership

7. Limited Liability

Dubai company register: Have us contact you by filling in the box on the right

Dubai company register: Establishment of a Representative or Branch Office

Setting up a representative or branch office in Dubai may also be a consideration worth looking into as far as some foreign entities are concerned.

The business registration in Dubai for this option is covered by the Commercial Companies Law.

Based on the foregoing facts and details, it is evident that Dubai company registration and elsewhere in the UAE is a process completely free of any complication.

Dubai company register: Have us contact you by filling in the box on the right

Dubai Company Registration Procedure

Step 1. Dubai company register: Decide who will be your UAE national partner – “Sponsor”

This steps requires careful consideration of what services would you expect from the Sponsor.

Would you like him to be assisting you in resolving your problem with the government procedures or would you just want his name on the license and nothing else? What fees are you prepared to pay per year?

A good rapport with your Sponsor prevents many potential problems.

Step 2. Dubai company register:Get a name and activity approval from Department of Economic Development (DED)

This can be applied for and done on a standard application form and submitted at DED

Step 3. Dubai company register: Look for business premises and make a tenancy contract

All businesses in Dubai must have business premises evidenced by a tenancy contract in order to get registered.

Step 4. Dubai company register: Make a Memorandum of Association (MOA) with the Sponsor and submit to DED

Any legal firm can type out the memorandum which must specify the special arrangements of running the business, ownership percentage amongst all partners, and their profit sharing arrangements. This agreement should be notarized in the Dubai court.

Step 5. Dubai company register: Submit the MOA and the License application at DED along with the required legal documents and the tenancy contract.

All charges and fees must be paid at this stage. You should get a license after about a week from step 5.

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